In its upcoming report, Carvana (CVNA) is predicted by Wall Street analysts to post quarterly earnings of $0.73 per share, reflecting an increase of 278.1% compared to the same period last year. Revenues are forecasted to be $4.04 billion, representing a year-over-year increase of 32%.
The consensus EPS estimate for the quarter has undergone an upward revision of 6.4% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors typically use consensus earnings and revenue estimates as a yardstick to evaluate the company's quarterly performance, scrutinizing analysts' projections for some of the company's key metrics can offer a more comprehensive perspective.
In light of this perspective, let's dive into the average estimates of certain Carvana metrics that are commonly tracked and forecasted by Wall Street analysts.
Analysts' assessment points toward 'Sales and operating revenues- Retail vehicle sales, net' reaching $2.88 billion. The estimate indicates a year-over-year change of +32.3%.
According to the collective judgment of analysts, 'Sales and operating revenues- Other sales and revenues' should come in at $339.14 million. The estimate indicates a year-over-year change of +48.1%.
The consensus estimate for 'Sales and operating revenues- Wholesale sales and revenues' stands at $804.95 million. The estimate indicates a year-over-year change of +22.5%.
Analysts predict that the 'Unit sales - Retail vehicle unit sales' will reach 129,401. The estimate is in contrast to the year-ago figure of 91,878.
Analysts expect 'Per retail unit gross profit - Total' to come in at $6,956.18. Compared to the present estimate, the company reported $6,432 in the same quarter last year.
Based on the collective assessment of analysts, 'Per retail unit gross profit - Retail vehicle' should arrive at $3,350.74. Compared to the current estimate, the company reported $3,080 in the same quarter of the previous year.
The combined assessment of analysts suggests that 'Per retail unit gross profit - Wholesale' will likely reach $851.09. Compared to the current estimate, the company reported $860 in the same quarter of the previous year.
It is projected by analysts that the 'Per retail unit gross profit - Other' will reach $2,732.90. The estimate compares to the year-ago value of $2,492.
The consensus among analysts is that 'Unit sales - Wholesale vehicle unit sales' will reach 60,168. Compared to the present estimate, the company reported 44,155 in the same quarter last year.
The collective assessment of analysts points to an estimated 'Per unit selling prices - Retail vehicles' of $22,762.43. The estimate compares to the year-ago value of $23,673.
Analysts forecast 'Per unit selling prices - Wholesale vehicles' to reach $9,647.45. The estimate is in contrast to the year-ago figure of $9,625.
The average prediction of analysts places 'Markets at end of period' at 316. Compared to the present estimate, the company reported 316 in the same quarter last year.
View all Key Company Metrics for Carvana here>>>
Carvana shares have witnessed a change of +38.6% in the past month, in contrast to the Zacks S&P 500 composite's -0.5% move. With a Zacks Rank #2 (Buy), CVNA is expected outperform the overall market performance in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
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Carvana Co. (CVNA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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